Cohen & Steers Total Return Realty Fund Prepares Shareholders for July 2024 Distributions

Cohen & Steers Total Return Realty Fund, Inc. (RFI) has shared important information for its shareholders regarding distributions. According to a recent press release, the fund will provide distributions on July 31, 2024. This announcement follows the established practice of the fund under a managed distribution policy that allows for regular monthly payments to shareholders at a fixed rate. This policy was put into effect back in December 2011 and aims to help shareholders benefit from the fund’s total return potential over the long term.

Each monthly distribution from the fund may consist of several components, including long-term capital gains, short-term capital gains, and net investment income. Additionally, some distributions may be classified as a return of capital, which happens when payments exceed income and gains realized by the fund. A return of capital isn’t subject to taxation immediately; instead, it reduces the overall tax basis for a shareholder’s investment in the fund. It is crucial for shareholders to understand that their distribution amounts can change based on various factors like market conditions and the portfolio’s performance.

The release also detailed the breakdown of the current distribution amounts for July 2024 and year-to-date figures. The estimates indicate that a significant portion of the distribution will come from a return of capital. Shareholders will receive a Form 1099-DIV at the end of the year for tax reporting. The fund cautioned investors not to draw hasty conclusions about the fund’s performance based on the amount distributed, as returns can vary and may reflect payments made from the principal investment as well. Overall, the sentiment from the announcements appears somewhat bullish, indicating confidence in the fund’s performance ahead.